Bitcoin has been making waves in the financial world and has been attracting a lot of attention lately. With the current trading price of $22,750, investors and traders are keeping a close eye on the market movements. Technical analysis is an essential tool for understanding market trends and predicting future price movements. In this context, the analysis suggests that Bitcoin is facing resistance at the level of $23,500-$24,500.
A closer look at the weekly chart shows that an inverted head and shoulder pattern is forming. The left shoulder and head of the pattern have already been formed, but the right shoulder is still in the process of being completed. The completion of the inverted head and shoulder pattern could result in a dip in the price of Bitcoin, potentially reaching a range of $17,000-$18,000.
However, if the resistance level is broken, the price of Bitcoin could rise significantly, reaching a range of $32,000-$35,000. In this scenario, it is important to keep in mind the strong support level of $18,400.
In conclusion, Bitcoin is currently facing resistance, and the outcome of this resistance will be a determining factor in future price movements. Investors and traders should keep a close eye on the market and be prepared for both scenarios. Technical analysis is a valuable tool for understanding market trends, but it is also important to keep in mind that the cryptocurrency market is highly volatile and subject to sudden fluctuations.
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Thank you for your work! Have a glance at our viewpoint:
noble1ones
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Quote: "the weekly chart shows that an inverted head and shoulder pattern is forming."
Your idea is plausible. However , it's important to say that the idea is a 'potential' one due to the fact that there is no actual IHS forming. It's simply an assumption of what 'potentially' may become based on the prior price structure on the weekly chart according to your perspective. It's a hypothesis, not a fact. That being said, it's a nice 'possible' assumption, in my humble opinion All the best!
Finnovin
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I think any decision based on speculation is risky. you can't use a pattern before happening. It's not about prediction. It's about history and what u may deduce about the current situation
TradingShot
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Great publication. Check out our idea too:
SwallowPremium
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Very professional work! A clear chart with a good description of the scenario. Thank you for sharing!!
ProjectSyndicate
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excellent summary and setups today
simpsonepic1a
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Well done hope it holds🤞
TheTradersAvenue
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Great technical analysis! Thanks.
similarTuna31284
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Have you Nofy iced the morning star made on the monthly? Quite similar to the 2016 monthly morning star. See what happened afterwards. Maybe again
WeAreSat0shi
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@similarTuna31284, Morning star? No, I see a bullish engulfing monthly candle!